Section 8 Fair Market Rent (FMR) for ZIP 37308 - 2027
Location: Meigs County, TN | Metro: Chattanooga, TN-GA MSA
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $830 |
| 1 Bedroom | $850 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,230 |
| 4 Bedrooms | $1,370 |
| 5 Bedrooms | $1,589 |
| 6 Bedrooms | $1,780 |
| 7 Bedrooms | $1,922 |
| 8 Bedrooms | $2,018 |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$80,394
Housing Authorities Serving ZIP 37308
A skeptical investor looking at ZIP 37308 might have several concerns regarding the feasibility of investing in properties there, particularly under the Section 8 housing program. Let's address these concerns head-on with the available data.
- Will FMR $1300 (zip FY 2024) cover the mortgage on a $354,783 home? The Fair Market Rent (FMR) for ZIP 37308 in fiscal year 2024 is set at $1300. This amount is designed to cover the average rent for a moderate-quality rental unit in the area. However, it does not directly correlate to the ability to cover a mortgage on a home valued at $354,783. To determine if the FMR can support a mortgage, you would need to consider the typical mortgage rates and terms, which are not provided here. Generally, an FMR of $1300 suggests that the rental market is competitive and landlords must ensure their property meets the standards to qualify for the Section 8 program. It also implies that the mortgage payment should be lower than the FMR to remain profitable.
- Is there enough renter demand at 11.5%? With a participation rate of 11.5%, it indicates that a significant portion of the population in ZIP 37308 is enrolled in the Section 8 housing choice voucher program. This percentage reflects a steady demand for subsidized housing. However, the data does not specify the total number of households or the exact number of participants, which would be necessary to gauge the overall demand accurately. Despite this limitation, the 11.5% participation rate suggests a viable market for landlords willing to accept Section 8 tenants.
- Will vouchers keep pace with $807 market rents? The average market rent of $807 in ZIP 37308 is below the FMR of $1300, indicating that the voucher amounts are likely sufficient to cover the cost of renting a moderate-quality unit. However, the data does not provide a clear picture of how the voucher amounts will adjust over time relative to market rents. Typically, voucher amounts are adjusted annually based on the local FMR, but this process does not guarantee that they will always match the actual market conditions. Landlords must monitor both the FMR and market rent trends to anticipate any potential gaps.
In summary, while the data provides insights into the financial viability of Section 8 investments in ZIP 37308, it does not offer a complete picture of all factors involved. The FMR of $1300 is a key figure for setting rental rates, the 11.5% participation rate signals a consistent demand for subsidized housing, and the $807 market rent suggests that current voucher amounts are adequate. However, investors should continue to track local economic indicators and policy changes to make informed decisions.
Data Sources: FMR data from HUD (2027). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.